IPO – What is Primary and Secondary Market

IPO – What is Primary and Secondary Market

IPO – What is primary & secondary market?

Primary market is the market where shares are offered to investors by the issuer company to raise their capital.

Secondary market is the market where stocks are traded after they are initially offered to the investor in primary market (IPO’s etc.) and get listed to stock exchange. Secondary market comprises of equity markets and the debt markets.

Secondary market is a platform to trade listed equities, while Primary market is the way for companies to enter in to secondary market.

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